Nn Property Tax Rate Not Expected To Rise

Maroney, who will propose his annual budget to the City Council later this month, said Monday that he doesn't plan to ask for an increase in the rate charged on real estate or personal property.

"I feel confident this year that, with some innovative financial manipulation, we will be all right," said Maroney, who a few months ago predicted a serious revenue shortfall for the budget year starting July 1.

Most homeowners still would pay more, however, because the real estate assessments on which tax rates are based have risen an average of 3 percent. Last year, on Maroney's recommendation, the council raised the real estate rate by 6 cents per $100 assessed value, from $1.09 to $1.15. The owner of a typical $100,000 house paid an extra $106, accounting for higher assessments.

Maroney said the cost of running the city has risen at least as much as last year, but said certain cuts and savings this year will make it easier to balance the budget without raising taxes.

The main savings, he said, is the result of an early retirement program the city put in place last year. More than 100 city employees with salaries totaling $3.5 million left the city earlier than they had planned but still got full benefits.

Most of those positions will likely be filled, but Maroney said he hopes many can be eliminated, saving taxpayers the cost of their salaries and benefits.

The manager also said he plans to hold nearly all department heads to "maintenance level" budget increases, which means services would remain status quo. Some could even be cut, but Maroney said he couldn't be specific because his staff is still working on the proposed operating budget.

He said he will likely propose increases in some user fees, but again was not specific.

Maroney acknowledged it's unlikely the council would raise tax rates during an election year anyway, but said that isn't the reason behind his proposal.

"My goal is to simply save enough money so residents wouldn't be subjected to a tax increase," he said. "I think we will be able to do that."